August 17, 2017

Short-term Reprieve Likely According to Overbought Reading in QQQQ

While the S&P (SPY) and Dow (DIA) have been able to push lower and out of their respective “very overbought” readings, the NASDAQ 100 (QQQQ) has not followed suit. The tech-heavy sector has actually held quite steady over the last few sessions, which I think bodes well over the longer-term, I still feel as though we are due for another short-term reprieve due to the “overbought” status of the QQQQ. Once that occurs the picture becomes a bit more unlcear. We will have to tackle that if/when it comes. Until then…… stay tuned!!!

Also, I should have my book on Iron Condors completed in the next few weeks. It should be an interesting read and should help those of you who love to trade the neutral-based options strategy.

I hope all is well!

Overbought-Oversold levels for September 23, 2009

ETF Extremes Options Trading Strategy

* S&P 500 (SPY) – 58.1 (neutral)
* Dow Jones (DIA) – 58.2  (neutral)
* Russell 2000 (IWM) – 64.0 (neutral)
* NASDAQ 100 (QQQQ) – 72.7 (neutral)

Other ETFs

* Ultra Long (SSO) – 59.0 (neutral)
* Ultra Short (SDS) – 49.0 (neutral)